PartyGaming close to a deal with US over illegal gambling

Online poker giant PartyGaming today said it was in the final stages of negotiating a settlement with the United States authorities over its operations in the country prior to the 2006 ban on internet gambling.

It issued a statement outlining the fact that it was close to agreeing a payment to the US government as it emerged that one of the firm's founders, Anurag Dikshit, has agreed to pay $300million (£199million) of his personal wealth in the hope of settling his role in the case.

Party plan: Partygaming is negotiating a deal with US authorities

Dikshit is expected to appear in court in New York today to admit to an offence under the Wire act.

PartyGaming said while it was expecting to have to make a payment, it would be 'significantly lower' than $300million.

Dikshit is understood not to have struck any plea bargain deal and could go to jail for up to two years.

Co-founders ruth Parasol and her husband russ DeLeon, who own 14 per cent of the company each, are not expected to plead guilty.